Gazprom returns to profit on lower gas taxes and record China deliveries

After a period of sustained losses, Gazprom has returned to profitability, with the parent company reporting a net profit of 114.8 billion rubles for the nine months ended in 2026 under Russian Accounting Standards (RAS). This marks a sharp reversal from a net loss of 170.3 billion rubles in the same period last year. The positive trajectory was solidified in the third quarter, where the parent entity recorded a net profit of 36.4 billion rubles, improving significantly from the 69.2 billion ruble loss in the second quarter and the 159.6 billion ruble loss in the third quarter of 2025. Revenue for the reporting period increased by 4% to 4.44 trillion rubles. This financial stabilization is driven by both operational efficiency and shifting market conditions. A key internal factor was the absence of asset write-offs during the period, combined with a reduced tax burden. Specifically, the additional tax on the extraction of mineral resources (NDPI) on gas, which had previously added approximately 50 billion rubles to monthly payments, has been lowered. On the supply side, physical delivery volumes have expanded. Gazprom updated its record for daily natural gas deliveries to China via the Power of Siberia pipeline, marking the fourth major peak in 2026 following surges in January, March, and July. These increases are attributable to the construction of new pipeline loops and the expansion of extraction capacities at the Yakutsk and Irkutsk hubs.